Sovereign Diamonds Intrinsic Value

SOVERDIA • Consumer Goods
Current Stock Price
₹31.24
Primary Intrinsic Value
₹70.83
Market Cap
₹18.7 Cr
+100.0% Upside
Median Value
₹62.48
Value Range
₹46 - ₹71
Assessment
Trading Below Calculated Value
Safety Margin
50.0%

SOVERDIA Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
Book Value Method asset ₹70.83 ₹63.75 - ₹77.91 +126.7% Book Value/Share: ₹28.33, P/B: 2.5x
Revenue Multiple Method revenue ₹62.48 ₹56.23 - ₹68.73 +100.0% Revenue/Share: ₹45.00, P/S: 1.5x
Simple DCF (5Y) dcf ₹46.42 ₹37.14 - ₹55.70 +48.6% CF Growth: 5.0%, Discount: 15%
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

SOVERDIA Intrinsic Value Analysis

What is the intrinsic value of SOVERDIA?

Based on our comprehensive analysis using 3 different valuation methods, the estimated intrinsic value of Sovereign Diamonds (SOVERDIA) is ₹62.48 (median value). With the current market price of ₹31.24, this represents a +100.0% variance from our estimated fair value.

The valuation range spans from ₹46.42 to ₹70.83, indicating ₹46.42 - ₹70.83.

Is SOVERDIA undervalued or overvalued?

Based on our multi-method analysis, Sovereign Diamonds (SOVERDIA) appears to be trading below calculated value by approximately 100.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 24.00 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.65 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity -29.4% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin -18.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 0.96x Industry Standard: 1.0x+ Above 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹3 Cr ₹3 Cr Positive Free Cash Flow 8/10
March 2024 ₹1 Cr ₹1 Cr Positive Free Cash Flow 8/10
March 2023 ₹1 Cr ₹1 Cr Positive Free Cash Flow 7/10
March 2022 ₹1 Cr ₹1 Cr Positive Free Cash Flow 7/10
March 2021 ₹3 Cr ₹3 Cr Positive Free Cash Flow 8/10